WARRINGTON, Pa., May 31, 2007 (PRIME NEWSWIRE) -- Discovery
Laboratories, Inc. (Nasdaq:DSCO) announces publication of the
one-year follow-up results from its SELECT and STAR Phase 3
clinical trials for Surfaxin(r), in Pediatrics, the premier medical
journal for pediatric healthcare practitioners. The long-term data
from the SELECT and STAR trials concluded that Surfaxin
demonstrated a statistically significant survival advantage
relative to existing animal-derived surfactants, Survanta(r) and
Curosurf(r). Surfaxin is pending approval and has received an
Approvable Letter from the United States Food and Drug
Administration (FDA) for the prevention of RDS in premature
infants.

The article published in Pediatrics is entitled: One-Year
Follow-up of Very Preterm Infants Who Received Lucinactant for
Prevention of Respiratory Distress Syndrome: Results from 2
Multicenter Randomized, Controlled Trials (Moya et al.) Pediatrics
Vol. 119 No. 6 June 2007.

Fernando Moya, M.D., Chair of the SELECT study Steering
Committee and Director of Neonatology at the Coastal Area Health
Education Center, North Carolina, commented, "The long-term
outcomes from the pooled analysis are particularly important
because they suggest that a next-generation surfactant therapy,
such as Surfaxin, may save more babies' lives while improving their
chances for a healthy future. The prospective assessment of
long-term outcomes from the SELECT and STAR trials is unique given
direct comparisons between surfactant products. The data set from
this recently published analysis sets a new bar for this
category."

Key Data Highlights:

* Treatment with Surfaxin significantly improved survival
(p=0.05) through one-year of life compared with animal-derived
surfactants, Survanta and Curosurf.

* Surfaxin significantly improved survival (p=0.04) through
one-year of life when directly compared with Curosurf, the current
market leader in Europe and current market growth driver in United
States.

* Although treatment with Surfaxin improved survival in preterm
children, no differences in neurologic outcomes through one-year of
life were observed between treatment groups, however, Surfaxin
demonstrated a statistically significant (p less than or equal to
0.05) reduction in two important assessments of neurologic outcomes
(reflex abnormality and gross tone) versus Survanta.

Robert J. Capetola, President and CEO of Discovery Labs,
commented, "Publication of these data in Pediatrics represents an
important validation of Surfaxin, the cornerstone of Discovery's
broad SRT pipeline. The neonatal medical community has repeatedly
indicated a strong interest in long-term outcomes assessment. No
such assessment from the registration trials supporting use of
currently prescribed animal-derived products has, to our knowledge,
ever been conducted. Discovery is committed to provide this
critically important information to the neonatal community. The
article by Dr. Moya et al. supports a defined survival advantage
for Surfaxin compared with current standard of care. We believe
these long-term data will support significant differentiation for
Surfaxin."

About Surfaxin

Surfaxin is a precision-engineered version of natural human lung
surfactant and contains Discovery Labs' KL-4 peptide. Surfaxin,
administered as a liquid-instillate, represents a potential
alternative to the commercially available animal-derived
surfactants. Data from Discovery Labs pivotal, multinational SELECT
study demonstrate that Surfaxin is significantly more effective in
the prevention of RDS and results in improved survival (continuing
through at least one year of life) and other outcomes versus
comparator surfactants. The SELECT and STAR (a supportive Phase 3
study) trials, as well as the pooled Phase 3 analysis, have been
presented at several international medical meetings and the results
from the two studies were published in Pediatrics. In addition,
top-line results from Discovery Labs Phase 2 clinical trial for the
prevention and treatment of BPD suggested that infants treated with
up to five incremental standard doses of Surfaxin tended to have a
lower incidence of death or BPD, a higher survival rate through 36
weeks post-menstrual age, and fewer days on mechanical
ventilation.

About the medical journal, Pediatrics

Pediatrics, the official journal of the American Academy of
Pediatrics, publishes papers on original research or observations
and special feature articles in the field of pediatrics. Pediatrics
serves as a medium for expression to the general medical profession
as well as pediatricians. The Executive Board and Officers of the
American Academy of Pediatrics select articles that appear in
Pediatrics. The American Academy of Pediatrics is an organization
of 60,000 primary care pediatricians, pediatric medical
subspecialists, and pediatric surgical specialists dedicated to the
health, safety, and well-being of infants, children, adolescents,
and young adult. The Academy is committed to the attainment of
optimal physical, mental, and social health for all infants,
children, adolescents and young adults.

About Discovery Labs

Discovery Laboratories, Inc. is a biotechnology company
developing Surfactant Replacement Therapies (SRT) for respiratory
diseases. Surfactants are produced naturally in the lungs and are
essential for breathing. Discovery Labs technology produces a
precision-engineered surfactant that is designed to closely mimic
the essential properties of natural human lung surfactant.
Discovery Labs believes that its proprietary SRT pipeline has the
potential to advance respiratory medicine and address a variety of
respiratory diseases affecting neonatal, pediatric and adult
patients.

Discovery Labs lead product candidate, Surfaxin(r), is the
subject of an Approvable Letter from the FDA for the prevention of
Respiratory Distress Syndrome in premature infants. Surfaxin is
also being developed for other neonatal and pediatric indications.
Aerosurf(tm), Discovery Labs aerosolized SRT, is being developed to
potentially obviate the need for intubation and conventional
mechanical ventilation and holds the promise to significantly
expand the use of surfactants in respiratory medicine. For more
information, please visit our website at www.Discoverylabs.com.

To the extent that statements in this press release are not
strictly historical, all such statements are forward-looking, and
are made pursuant to the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995. These forward-looking
statements are subject to certain risks and uncertainties that
could cause actual results to differ materially from the statements
made. Among the factors which could affect Discovery Labs actual
results and could cause results to differ from those contained in
these forward-looking statements are the risk that Discovery Labs
may not profitably develop and market its products, the risk that
financial market conditions may change, the risk that Discovery
Labs will not be able to raise additional capital or enter into
additional collaboration agreements, the risk that Discovery Labs
will not be able to attract or retain qualified personnel or timely
provide for a successful sales and marketing organization, risks
relating to the progress of Discovery Labs research and
development,, risks in the FDA or other regulatory agency review
process generally, including that such regulatory authority will
not approve the marketing and sale of a drug product even after
acceptance of an application or that approval by such regulatory
agency may be withheld, delayed and/or limited by indications or
other label limitations, risks that the Chemical, Manufacturing and
Controls section of Discovery Labs New Drug Application will not
satisfy the FDA, risks relating to the ability of Discovery Labs or
Discovery Labs third party manufacturers and development partners
to manufacture or provide Discovery Labs with adequate supplies of
drug substances and expertise for completion of any of Discovery
Labs clinical studies, risks related to the ability of Discovery
Labs and its collaborators to develop, manufacture and successfully
commercialize products that combine Discovery Labs drug products
with innovative aerosolization technologies, risks relating to drug
manufacturing by Discovery Labs, risks relating to the significant,
time-consuming and costly research, development, pre-clinical
studies, clinical testing and regulatory approval process for any
products that Discovery Labs may develop independently or with
Discovery Labs collaboration arrangements, risks relating to the
development by other companies of competing therapies and/or
technologies, risks relating to reimbursement and health care
reform, and risks relating to securities, product liability and
other litigation. Companies in the pharmaceutical and biotechnology
industries have suffered significant setbacks in advanced clinical
trials, even after obtaining promising earlier trial results. Data
obtained from tests are susceptible to varying interpretations,
which may delay, limit or prevent regulatory approval. Those
associated risks and others are further described in Discovery Labs
filings with the Securities and Exchange Commission including the
most recent reports on Forms 10-K, 10-Q and 8-K, and any amendments
thereto.